Recommendations of Restructuring Citigroup The Bank In Trouble Case Help

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Recommendations of Restructuring Citigroup The Bank In Trouble Case Study Solution

On the basis of above internal and external analysis of the company along with the evaluation of different options, the business is recommended to think about alternative 3. As alternative 3 would permit the company to expand in worldwide markets with no reduction in its regional revenues and any degeneration of its market position. By considering Alternative 3, the company might preserve its store experience and brand originality. It might also consider alternative 2 that could permit the company to access the markets without any possible investment. The company could pursue alternative 1 which would enable the business to focus on prospective worldwide markets rather than the local markets but as the company is extremely dependent on the local markets with 90% of its stores in the US, there fore pursuing alternative 1 would result in the substantial decrease in business's income. For that reason, the company is suggested to think about alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Restructuring Citigroup The Bank In Trouble Case Solution Stores

The company has a long term market position in United States which can not be generated quickly in the new markets. The choice would assist the company to expand in worldwide markets along with the elimination of concerns raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new worldwide markets.
• Boost in profits from worldwide markets.
• Removal of concerns related to variety.
• Earnings diversification.
• Action towards being a strong international brand name.

Cons:

• Loss of comprehensive profits from the regional markets.
• Boost in competitors.
• Differences in cultures might led to a failure of the brand name specifically in Asian countries.
• Low revenues at initial levels.
• Increase in marketing expenditures to acquire market share.

Alternative-2: Introduction of Click and Recommendations of Restructuring Citigroup The Bank In Trouble Case Help Stores

Alternative 2 includes the introduction of online market places through generating an appropriate business's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on could posture an extreme threat to the market share of business. The rivals are moving towards click and Recommendations of Restructuring Citigroup The Bank In Trouble Case Analysis stores with Space presenting Piperline. This shift towards online markets could minimize the earnings for company. In this circumstance the company could think about presenting Click and Recommendations of Restructuring Citigroup The Bank In Trouble Case Help shops. These stores with a low requirement of funds to settle would allow the business to reach international markets, without ending its domestic stores. The advantages and disadvantages of option 2 are provided as follows;

Pros:

• Low financial investment
• Decreasing competitors risk
• Access to the world markets
• Enlarging customer base
• Easy to handle
• Big Profits
• Low Operating Expense
• Easy new market entrance

Cons:

• Hazard to the market position
• Elimination of brand Individuality
• Elimination of the excellent store experience.
• Threat of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another choice that the company might consider, is to expand towards the global markets without closing its domestic shops that adds to the major part of incomes of the business. The benefits and drawbacks related to Alternative 3 are provided listed below;

Pros:

• Minimizing competitors risk
• Access to the world markets
• Enlarging consumer base
• Large Revenues
• Expedition of new international markets.
• Boost in profits from worldwide markets.
• Income diversity.
• Step towards being a strong worldwide brand name.

Cons:

• Continuation of problems related to diversity.
• Differences in cultures might resulted in a failure of the brand name specifically in Asian nations.
• Low earnings at initial levels.
• Boost in marketing expenditures to gain market share.



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